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Three Zagara's Specialty & Natural Foods in the Philadelphia area have been sold to former employees of the company, according to reports in the local press.

Zagara’s has been owned since 1999 by Genuardi’s, which bought the company known gourmet and natural foods, fresh-baked breads and exotic vegetables and meats. Genuardi’s was bought by Safeway in 2001, which now apparently has decided to divest the operation.

For the moment, Safeway retains ownership of one Zagara’s in the area.

Terms of the sales of the Zagara’s units were not disclosed.
KC's View:
We remember being told by the folks at Genuardi’s that there was something of a culture clash between their company and the even-smaller Zagara’s even before Safeway came into the picture; one can only imagined how that worsened once the bigger company got involved.

The clear message coming from Philadelphia has been that Safeway has been forcing Genuardi’s into its way of doing things, not taking the best ideas from the smaller company that expanding them throughout its other divisions. And we’ve yet to read a story anywhere or hear from anyone who has said that this strategy has worked; on the other hand, all you ever hear is that Genuardi’s sales have suffered as a result.

If this is true, then the Zagara’s business must have been really hurting. We wish the new owners good luck with their independent operations, and look forward to hearing how they develop their businesses.